Success Story: Aegis Business Solutions
Perseverance pays off for Army veteran turned-entrepreneur in Kansas City
If Randy Crawford exudes an attitude of ease and quiet confidence. It belies the drive and determination bubbling underneath that has taken him where he is today.
He can be found most days in the downtown Kansas City headquarters of the business service firm he founded two years ago-Aegis Business Solutions LLC. The company, which Crawford heads, helps government agencies and private industry by delivering complete office solutions for business needs ranging from information technology to office furniture to relocation services.
Randy Crawford is founder and president of Kansas City-based Aegis Business Solutions LLC. The company is one of only eight Service Disabled Veteran Owned Businesses in the country that has a contract schedule for furniture with the General Services Administration.
"Our targeted clientele is the U.S. government and Fortune 500 companies with socio-economic goals related to our status as a Service Disabled Veteran Owned Business," explains Crawford, who served as an Army staff sergeant from 1976-1983. He taught military intelligence and also worked directly with the National Security Agency.
He left the Army as a result of a service-connected disability. Back in civilian life Crawford determined to make the best of his situation. He set himself on a path to entrepreneurship.
Among Crawford's achievements during the years following his Army service: he owned and operated a manufacturer's representative company selling test equipment to the communications industry. He also pursued a bachelor's degree in business administration, which he received in 2000 from Baker University in Baldwin City, Kan.
All of his experience in business ownership, management and education eventually led to the creation of another entrepreneurial urge, resulting in Crawford founding Aegis in March 2006.
It was within the first week of operation at his new enterprise that Crawford learned of a valuable business resource, the Missouri Procurement Technical Assistance Centers (MO PTAC).
Visit www.missouribusiness.net/ptac/success/aegis.asp for the complete story and photos.
New Funding Program to Offer Boosts to Technology Researchers in Missouri
The path to commercialization of Missouri research has just gotten clearer.
The Missouri Technology Corporation (MTC), in partnership with the Missouri Small Business and Technology Development Centers (MO SBTDC), has announced a new funding source for innovative and high-technology companies interested in pursuing federal research and development funding through the Small Business Innovation Research (SBIR) and Small Business Technology Transfer (STTR) awards.
The Missouri Technology Incentive Program (MoTIP) is designed to generate high-quality SBIR/STTR proposals and broaden the participation of Missouri small businesses through Phase 0 competition assistance grants and Phase I/II Bridge Loans.
"Each year, the federal government makes $2.2 billion available to U.S. small businesses engaged in innovative and high-technology research and development," says Paul Rehrig, MO SBTDC counselor at the University Center for Innovation and Entrepreneurship in Columbia.
"Historically, Missouri has not captured its share of those dollars, often because entrepreneurs lack critical funding at important junctures in the technology's development. MoTIP is designed to fill those gaps and ensure that Missouri wins more dollars for commercialization of innovative ideas, creates more businesses and jobs and develops its economic potential."
Entrepreneurs may apply for Phase 0 competition assistance grants monthly by submitting a proposal to MoTIP. Funds of no more than $5,000 may be used for the required development of a Phase I proposal, market research, attendance at SBIR conferences, communication with or travel to federal agencies, analyses to support research or acquisition of data.
"We believe many more businesses would pursue SBIR/STTR funding opportunities if they had a modest financial help to enable them, for instance, to pay for assistance in writing the proposal," says Rehrig, the MoTIP coordinator. "These are rather small awards, but they can make a huge difference in whether or not a researcher or entrepreneur pursues a commercialization path for a technology. It's a small investment from the state that could potentially pay huge dividends in business and job creation down the road."
"Our goal with this funding is truly to help the entrepreneur bridge the resource gap that often occurs midway through the commercialization process," says Rehrig. "A repayment of the money ensures resources for future projects. In this way, the success achieved by our state's technology entrepreneurs helps seed the next innovative ideas. It's a double return to the state."
More information and proposal templates are available at MoTIP@missouri.edu or online at www.missouribusiness.net/fast/ under the MoTIP link. Or call Rehrig at 573-882-7096.
Visit www.missouribusiness.net/news/motip_033108.asp for the full story.
IRS Roundup
Popular Small Business Resource Guide updated for 2008
The 2008 Small Business Resource Guide CD-ROM is a handy, interactive CD produced and distributed by the Internal Revenue Service. Designed to help small business owners and self-employed taxpayers comply with tax laws, the CD provides an abundance of comprehensive information organized around the life cycle of a business, including,
Small Business
Resource Guide CD
Publication 3207
- Prestart-up
- Starting your business
- Specialized guidance
- Hiring
- Preparing tax returns
- e-file
- Filing returns/paying taxes
- Post-filing issues
- IRS business forms and publications
- "Teens in Biz"
- Changing/closing your business
- FAQs
- State and local government
- Helpful links
The CD includes critical tax law changes, provides helpful information (such as how to prepare a business plan and finding financing for your business) and links to various government agencies. The "Teens in Biz" section is geared to young, aspiring entrepreneurs and future business owners. It is an interactive module (The Real Planet) that gives practical tips for teens about starting a business, creating a business plan and filing taxes.
For an online version of the resource guide, the content is available on the Web exclusively at MissouriBusiness.net (visit www.missouribusiness.net/irs/).
To obtain your own copy of this free CD, call the IRS at (800) 829-3676 or visit www.irs.gov/businesses/small/page/0,,id=7128,00.html 
to order online.
Missouri Banker Named SBA National Small Business Financial Services Champion
Keith McLaughlin of The Bank of Missouri in Columbia is SBA's 2008 National Small Business Financial Services Champion.
The U. S. Small Business Administration has selected W. "Keith" McLaughlin, an officer of The Bank of Missouri in Columbia, as its 2008 National Small Business Financial Services Champion. Independent judges scored McLaughlin highest at the SBA St. Louis District level and the Kansas City Regional level, which led him to competition against nine other regional financial services champions to win the 2008 national title.
McLaughlin manages The Bank of Missouri's SBA-dedicated lending program as its senior vice president of the SBA lending division. His responsibilities include training and managing SBA loan originators, portfolio management, loan servicing, collection, liquidation, and secondary market sales.
In 1982, McLaughlin founded America's Business Brokers, an organization to help small business entrepreneurs buy and sell their businesses. He also assisted business borrowers in securing SBA financing. In 1993, the Columbia Chamber of Commerce recognized McLaughlin and his business with its distinguished "Small Business of the Year Award." From 1997 to 2004 he managed the Mid-Missouri SBA lending program for Union Planters Bank leading to his recognition in 2005 by the Columbia Business Times as "Someone You Should Know."
In 2006, McLaughlin was named by the SBA Administrator to SBA's National Advisory Council Executive Committee, comprised of small business owners and leaders who serve as a key private sector advisory group to SBA, Congress, and the president of the United States on small business issues. Currently, McLaughlin chairs the 32-member statewide Missouri Small Business Development Centers advisory board.
McLaughlin helped the Columbia-based SBDC at the MU College of Engineering lead the "Entrepreneurship and Home Ownership Boot Camp for Our Veterans" seminar, where he presented "Financing Your Business: How, When, and Where to Borrower," and introduced the new SBA Patriot Express loan program for veteran-owned businesses. Last year, The Bank of Missouri and McLaughlin funded the first SBA Patriot Express loan in the nation to help a Columbia electrical contractor expand his business.
Business Going Green
Sustainability for the small business owner
Join this discussion at 7 p.m., April 30, hosted by EarthWays Center, 3617 Grandel Square, St. Louis. It will spotlight how to incorporate sustainability into a small business. From recycling programs, indoor air quality and purchasing policies to employee carpooling, energy use and generating a marketing message – there is always a way for small business owners to get started greening their practices and to plan for additional, future sustainability measures.
The event will be presented by Glenda Abney and Jean Ponzi. Cost is $15 for Missouri Botanical Garden members; $20 for nonmembers. Call 314-577-0220 or e-mail earthways.center@mobot.org to register.
Buy, Build or Franchise?
Choosing the right way to go into business
"Entrepreneur" is a term we hear a lot when someone decides to go into business. But what is an entrepreneur? One tongue-in-cheek definition is "a person who will work 16 hours a day to keep from working eight hours for someone else."
"Tire kickers" who think they are interested in being in business for themselves are common, but for every 10 people who want to start a business, only one will usually do so.
There are three main ways to get into business: purchase a franchise, buy an existing business or start from scratch. Each has its pros and cons.
Franchising opportunities
When buying a franchise, what do you get from the franchiser? This is obvious with the well-known ones, such as the fast food chains. They usually offer extensive training, advertising and ongoing management assistance. The disadvantage is the cost of purchasing this type of franchise. But if you are not getting this type of extensive help, can you justify the fee for the lesser-known franchiser that provides little or no assistance? Is it really worth the price?
Adding tens of thousands of dollars expense and perhaps a percentage of ongoing sales may make the venture more difficult to finance and achieve a desirable cash flow.
Purchasing an existing business
Many times the asking price for a business is greater than the actual value of the assets being purchased. This makes financing more difficult because there are not enough tangible assets to secure the loan. Additional secured assets may be required if this is the case.
Another obstacle is when the income shown for the business from tax returns and/or financial statements is not large enough to show the ability to repay the loan.
A possible advantage of buying an existing business is the name recognition may contribute to the success of the business. Be sure the business has a good reputation. Always learn why the seller wants to sell the business, especially if the business has been successful. Also secure a non-compete agreement from the seller.
Another area to look closely at is the inventory of the business you are buying. Don't get stuck with obsolete or slow-moving inventory.
Starting from scratch
The advantage of starting a new business is that most of the time you do not have problems with reputation that the franchise business or existing business may have developed. The disadvantage may be the financing. Normally, lenders are unsure of a new business that has no track record.
This can be overcome with help from friends and family and using more of your personal assets to secure the loan. Business startups that are considered to be unusual are more difficult to finance than more established types of businesses.
You may have heard that grants and special financing are available for entrepreneurs—especially for minorities. You will be disappointed to learn that isn't necessarily so, except in rare cases.
If you want to go into business for yourself, be sure to look at the numbers first. Will sufficient cash flow be easily achieved or will it be difficult? Just as important, will the business provide the desired return on your investment?
Going into business for yourself is a gamble. But weigh what you have to gain against what you have to lose.
Your local Small Business Development Center can help with matters related to buying or selling a business.
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For more information about doing business in Missouri, visit the Web sites at www.missouribusiness.net or contact one of our service centers. You can find a list at www.missouribusiness.net/sbdc/centers.asp.
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